Dewan Housing Finance Ltd. saw a more than ten-fold jump in net profit during the January-March quarter on account of a one-time gain resulting from the sale of its insurance business.
The mortgage lender had sold its 50 percent stake in DHFL Pramerica Life Insurance Company to its wholly-owned subsidiary DHFL Invesments Ltd., resulting in a one-time gain of Rs 1,969.4 crore during the quarter, the company said in a stock exchange filing.
Net profit, including this one-time gain, surged to Rs 2,217.7 crore from Rs 189.7 crore in the corresponding quarter last year. The consensus estimate of analysts tracked by Bloomberg stood at Rs 252 crore.
Profit before tax and before the exceptional gain stood at Rs 375.6 crore compared to Rs 283 crore in the year-ago period.
Total loans sanctioned by the company grew 6 percent year-on-year to Rs 39,846 crore compared to Rs 37,608 crore last year. The company's pool of outstanding loans currently stands at Rs 11,463.7 crore as of March 31, 2017.
The company has recommended a final dividend of Rs 3 per share.
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